Egypt WT/TPR/S/150/Rev.1 
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III. TRADE POLICIES AND PRACTICES BY MEASURE 
(1) OVERVIEW  
1. Since its last TPR, in 1999, Egypt has moved forward the progressive liberalization of its 
trade regime.  This has included unilateral and preferential tariff reductions, the streamlining of 
customs procedures, the adoption of WTO-based cust oms valuation rules, and the elimination of all 
customs service fees and charges on imports. 
2. Egypt's average applied MFN tariff has fallen from 26.8% in 1998 to 20.0% in 2005, and the 
number of tariff bands has been reduced.  While the majority of rates adopted by decree (normally the 
applied rates) remain well below Egypt's bindi ngs, for 19 tariff lines, they exceed, sometimes 
substantially, the corresponding bound rates;  impor ts from WTO Members are alleged to carry the 
bound or the applied tariff rate, wh ichever is lower.  Despite recen t tariff reforms, Egypt's tariff 
system remains complex, with numerous exempti ons, reductions, and concess ions.  In addition to 
tariffs, imports are subject to a general sales ta x of between 5% and 45%, which also applies to 
domestically produced goods. 
3. Imports are not subject to licences or prior a pproval.  However, a wide range of imported 
products are subject to mandatory quality contro ls.  Since its last Review, Egypt has imposed 
14 definitive anti-dumping duties a nd two safeguard measures.  No notifications on sanitary and 
phytosanitary (SPS) measures or on technical barri ers to trade (TBT) have been submitted to the 
WTO during the period.  
4. Egypt does not grant any export subsidies, but promotes exports through marketing assistance 
and public financing and guarantee schemes.  Free zones are in place to promote investment, 
employment, and exports.  A new Export Promotion Law was adopted in 2002.  Some 50 products are 
subject to quality control upon export.   
5. Egypt's first comprehensive competition legisla tion was adopted by the People's Assembly in 
January 2005.  The ongoing priva tization policy reflects a commitmen t to increased transparency and 
greater competition in the economy.  Government  procurement legislation grants a 15% price 
preference to Egyptian bidders.  Tariff reductions for imported inputs for certain assembly industries 
are contingent on the fulfilment of local-content requirements.  New intellectual property legislation 
entered into force in 2002, covering a ll major areas of the TRIPS Agreement. 
(2) MEASURES DIRECTLY AFFECTING IMPORTS  
(i) Documentation and customs procedures  
6. Egypt's customs regime is based on Law 121/1982, Law 66/1963 (the Customs Law), 
Law 118/1975 (which, together with its Executive Re gulations (Ministerial Decree 275/1991), is also 
known as the Import and Export Regulations), and a number of Ministerial Decrees. 
7. In accordance with Law 121/1982, all persons or companies importing goods into Egypt must 
register with the General Organization for Export an d Import Control within the Ministry of Foreign 
Trade and Industry.  The Law also requires that a ll registered importers be Egyptian nationals and 
fulfil a number of other conditions, including fina ncial reliability and the presentation of a proven 
record of past commercial activities.  When register ing, importers must also provide details of the 
products they intend to import.  Importers must pa y for imports through a bank operating in Egypt.  WT/TPR/S/150/Rev.1 Trade Policy Review 
Page 24 
 
 
8. All goods imported into Egypt, except those des tined for the free zones,  must be accompanied 
by a customs declaration, irrespective of their va lue.  Other documents required are the original 
commercial invoice, bill of lading, packing list, pr o-forma invoice, a form specifying the mode of 
payment, delivery order from the carrier in return fo r the bill of lading, and, if appropriate, a content 
analysis of the commodity.  In certain cases, add itional certificates may be required by the customs 
authorities, including chemical certificates for imports of food additives and other material used in the 
food processing industry;  quality control certificates  for a number of products; and a disinfection 
certificate for shipments of shaving brushes and bris tles.  Sanitary certificates are also required for a 
number of products (section (2)(viii)(c)), and plant a nd animal products are subject to inspection by 
the Agriculture Quarantine Body and the Animal Quarantine Body. 
9. Ministerial Decree 619/1998 requires that all im ported consumer goods be shipped directly 
from the country of origin to Egypt.  Minister ial Decree 423/1999 exempts from these provisions 
goods shipped from the producing country th rough a transit port and goods assembled from 
intermediate products of different origins.   The authorities indicate that the decrees are intended to 
prevent the entry of products of unknown source into the Egyptian market.   
10. Various imported goods are liable to quality co ntrol inspection by the General Organization 
for Export and Import Control within one week of th e date of import (see al so section (2)(viii)(b)).  
The Organization is entitled to examine a random samp le of 1% of the total number of packages in 
each consignment and up to 2% of the contents of the chosen packages.  Th e procedures for sampling 
are laid down in Ministerial Decree 1186/2003;  as a ma in principle, the customs officials must ensure 
that the samples examined are repr esentative for the consignment.  If the chosen samples are not in 
conformity with regulations, the Organization ma y search up to 2% of the remaining number of 
packages in the sample before rejecting a consignment.1  Rejected goods must be re-exported or 
destroyed. 
11. Since Egypt's previous Review, the Custom s Administration has stepped up efforts to 
improve inspection and clearance activities.  Adva nced clearance centres have been established at the 
ports of Alexandria, Cairo, Port Said, and Suez to simplify entry procedures.2  The use of computers 
and x-ray equipment has also helped to improve efficiency and, according to the authorities, the 
average clearance time has been reduced to between  30 minutes and three days, depending on the size 
and sensitivity of the consignment.   
12. In late 1999, Egypt established a register of tr ustworthy importers and exporters (reliable in 
trading in products in conformity with Egyptian specifications).  Inclusion on the register, held by the 
General Organisation for Import and Export Control,  entitles speedier product quality controls based 
on the producers' or importers' declarations. 
(ii) Customs valuation 
13. Under the WTO Customs Valuation Agreement (C VA), Egypt invoked the special provisions 
for developing countries, delaying the full implementation of the Agreement until June 2000.3  I n  
addition, implementation of the provisions of Artic le 1(2)(b)(iii) of the Agreement, concerning the 
customs value of identical or similar goods, and of Article 6, on customs valuation based on computed value, was delayed for a further period of three years. 
                                                     
 
1 Import and Export Regulations, Article 83. 
2 There are six customs offices:  Alexandria – Al Mahmodeia (6,266 staff), Cairo (4,194), 
Damietta (350), Port Said (2,949), Sinai (581), and Suez (1,100). 
3 WTO document WT/Let/19, 15 June 1995. Egypt WT/TPR/S/150/Rev.1 
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14. In January 2000, Egypt requested a further extens ion for three years in order to consolidate its 
customs system and to complete th e training of responsible personnel.4  In July 2000, the Customs 
Valuation Committee decided to grant Egypt a dela y in the application of the provisions of the 
Agreement until 30 June 2001.5  Ministerial Decree 765/01 on Determination of the Value of Goods 
for Customs Purposes was adopted on 25 June 2001;  it became effective on 1 July 2001.  The Decree 
abolished all remaining minimum prices, for example,  on rice, sugar, cars, and household appliances;  
the authorities indicate that, with its entry into for ce, Egypt fully implemented the CVA.  To ensure 
effective implementation, the Customs Authority  also conducted training programmes for its 
employees and awareness programmes for inter ested bodies dealing with customs issues. 
15. Under Article 22 of the Customs Law, the custom s value is determined on the c.i.f. price of 
the good, including the cost of commission and brokera ge.  For values defined in foreign currency, the 
official exchange rate published by the Central Bank is used for conversion.  According to the 
Customs Administration, in case of undervaluatio n, the procedures prescribed by the CVA are 
followed.  If the difference between  the declared value and the a ssessed correct value of the goods 
exceeds 20%, fines are payable in addition;  the f ees range between 10% and 25% of the customs duty 
on the price differential. 
16. Procedures for appeals regarding customs valu ation and product classification are laid down 
in Articles 57 and 58 of the Customs Law.  Complain ts are referred to an arbitration committee, which 
comprises one arbitrator appointed by Customs and one appointed by the concerned party.  If the 
members of the committee decide unanimously, their decision is final;  in case of disagreement, the 
case may be submitted for higher arbitration to a committee consisting of a permanent delegate 
appointed by the Minister of Justice and two other members, one chosen by the Customs Authority, 
and the other by the concerned party.  The decisi on of the higher arbitration committee is final.   
17. Between June 2003 and February  2004, 4,438 decisions of the Customs Authority were 
appealed (out of more than 235,000), most of whic h concerned valuation.  About 68% of the appeals 
were settled in primary arbitration. 
(iii) Rules of origin 
18. Egypt has not notified any rules of origin to the WTO.  Egypt does not have precise 
non-preferential rules of origin.  Article 19 of th e Customs Law defines origin as the country where 
the goods are produced. 
19. Ministerial Decree 515 of October 2003 requires that all goods be clearly labelled and carry a 
certificate of origin, with any mistakes on the la bel or certificate being grounds for returning the 
goods to the country of origin.  Self-certif ication is allowed and usually applied. 
20. Each of Egypt's bilateral and regional trade agre ements contains specific preferential rules of 
origin.  The Greater Arab Free Trade Area rules of origin confer originating status on goods wholly obtained or containing a minimum of 40% value adde d in the area.  Bilateral and diagonal cumulation 
is allowed.  The same rules of origin are laid dow n in Egypt's bilateral agre ements with Iraq, Lebanon, 
Libya, and Syria.  The authorities indicate that new rules of origin are under discussion by the Arab League (as at April 2005). 
                                                     
 
4 WTO document G/VAL/W/56, 13 January 2000.  Egypt also submitted a work programme for the 
implementation of the Agreement (WTO document G/VAL/W/56/Add.1, 21 February 2000).  
5 WTO document G/VAL/W/56/Add.2, 12 July 2000.  WT/TPR/S/150/Rev.1 Trade Policy Review 
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21. Under the COMESA rules of origin, all goods must  be directly transacted between signatories 
to qualify for preferential treatment.  The COMESA agreement provides four alternative criteria for 
determining origin on which an exporter may clai m eligibility for preferential treatment:  that goods 
are wholly produced in the region using no outside ma terials;  that the imported content of goods is 
not more than 60% of the c.i.f. value of the tota l cost of materials used in production;  that goods 
contain not less than 35% ex-factory value added6, reduced to 25% if the fina l product is considered to 
be of "particular importance" to the economic development of a member state7;  or that there is a 
change of tariff classification heading following transformation.  The authorities indicate that new rules of origin are under discussion by COMESA members. 
22. The rules of origin applicable to imports fro m the EU are defined in Protocol 4 to the 
EU-Egypt Agreement.  The rules confer originating status on goods wholly obtained in the area, or on 
sufficiently worked or processed goods.  The criteria for "sufficiently worked or processed" are laid 
down in Annex II to the Agreement;  for most goods, th ey are defined by product category at the four-
digit level.  The provisions allow bilateral cumulati on, and diagonal cumulation with Algeria, Israel, 
Jordan, Lebanon, Morocco, Syria, Tunisia, Turkey
8, the West bank, and the Gaza strip. 
23. The rules of origin under the Agadir Agreem ent are identical to those under the EU-Egypt 
Agreement. 
(iv) Tariffs 
(a) MFN applied tariff structure 
24. Customs tariffs are determined and amended by decree issued by the President of the 
Republic.  The present tariff structure was impl emented in September 2004 through Presidential 
Decree 300/2004, implying significant across-the-board tariff cuts and a reduction in the number of tariff bands.  The only products ex cluded from tariff cuts were alcoholic beverages, tobacco, and cars 
with an engine greater than 1,600cc.  No other changes in Egypt's MFN tariff have been implemented 
since 1999. 
25. While the tariff cuts are expected to result in an initial annual reduction of revenues estimated 
at LE 3 billion, the Government hopes to make up fo r this loss through increased revenue from better 
economic performance.  Revenue from import duties increased slightly in absolute terms from 
LE 9,048 million in 1998/99 to LE 11, 379 million in 2002/03;  however, as a percentage of total fiscal 
revenue, it fell from 12.0% to 9.9%.  
26. Egypt's tariff is based on the Harmonized  Commodity Description and Coding System 
(HS 2002).  Tariffs are applied on the c.i.f. value of imports.  The 2005 tariff contains 5,687 lines at 
the HS eight-digit level, of which 99.8% carry ad valorem  duties (Table III.1).  Eleven tariff lines 
(tobacco products), equivalent to 0.2% of all lin es, carry specific duties.  Egypt does not apply 
compound, mixed,  or seasonal MFN tariffs. 
                                                     
 
6 Value added is defined as the difference between the ex-factory cost of the finished products and the 
c.i.f. value of material inputs imported from outside the COMESA subregion.  The minimum level of value 
added was reduced from 45% to 35% in 2000.  Egypt and Uganda maintain the 45% ex-factory value-added 
level. 
7 A long list of approved products are specified in the COMESA Treaty as being of particular 
importance to the economic development of the members.  
8 A number of materials originating in Turkey, listed in Annex III to the Protocol, are exempt from 
diagonal cumulation.  In particular, this list includes dairy products, vegetables, and various fats and oils. Egypt WT/TPR/S/150/Rev.1 
 Page 27 
 
 
Table III.1 
Structure of MFN tariffs, 1998 and 2005 
(Per cent) 
 1998 2005 U.R.a 
1. Bound tariff lines (% of all tariff lines) 98.7 98.7 n.a. 
2. Duty-free tariff lines (% of all tariff lines) 0.2 5.3 0.0 
3. Non- ad valorem  tariffs (% of all tariff lines) 0.2 0.2 0.2 
4. Tariff quotas (% of all tariff lines) 0.0 0.0 0.0 
5. Non- ad valorem  tariffs with no AVEs (% of all tariff lines) 0.2 0.2 0.2 
6. Simple average tariff rate 26.8 20.0 38.6 
        Agricultural products (WTO definition)b 64.9 66.4 96.2 
        Non-agricultural products (WTO definition)c 20.9 12.8 29.6 
        Agriculture, hunting, forestry and fishing (ISIC 1) 18.5 5.8 27.0 
        Mining and quarrying (ISIC 2) 10.9 3.0 21.5 
        Manufacturing (ISIC 3) 27.6 21.1 39.6 
7. Domestic tariff "spikes" (% of all tariff lines)d 0.5 0.4 0.6 
8. International tariff "spikes" (% of all tariff lines)e 52.7 26.6 72.8 
9. Overall standard deviation of applied rates 127.4 148.3 165.2 
10. "Nuisance" applied rates (% of all tariff lines)f 0.9 23.7 2.6 
n.a. Not applicable. 
a Based on the total number of bound tariff lines. 
b WTO Agreement on Agriculture. 
c Excludes petroleum. 
d Domestic tariff spikes are defined as those exceeding three times the overall simple average applied rate (indicator 6). 
e International tariff peaks are defined as those exceeding 15%. 
f Nuisance rates are those greater than zero, but less than or equal to 2%. 
Source : WTO Secretariat calculati ons, based on data provided by the Egyptian authorities. 
27. The tariff comprises twelve rates, excluding the ad valorem  equivalents of the eleven specific 
duties.  Some 5.3% of tariff lines are duty free, up from 0.2% in 1998 (Chart III.1).  The modal rate is 
5%, and some 99.7% of the tariff lines carry rates up  to 40%.  The remaining 0.3% of tariff lines are 
subject to rates of 135%, 600%, 1,200%, 1,800%, and 3,000%.  The highest tariffs are on alcoholic beverages and spirits.  Goods entering Egypt duty fr ee include soya beans, electricity, and spinning 
and weaving machines. 
28. The average applied MFN tariff is 20.0%, down from 26.8% in 1998 (Table III.2).  The 
coefficient of variation of 7.4 indicates high tariff dispersion, mainly due to the highest rates ranging up to 3,000%.  MFN tariffs on non-ag ricultural products (WTO definiti on) are generally lower, with 
an average of 12.8%;  tariffs on agricultural goods (WTO definition) remain high, with an average of 66.4%;  the higher average on agricultural goods is strongly determined by average tariffs of over 
1,000% on beverages and spirits.  Using the ISIC (R evision 2) definition of sectors, the particularly 
high tariffs on beverages and spirits make manufact uring the sector with the highest tariff average 
(21.1%), followed by agriculture, hunting, forestry and fishing (5.8%), and mining and quarrying (3.0%). 
 WT/TPR/S/150/Rev.1 Trade Policy Review 
Page 28 
 
 
(0.2) (0.0) (0.0) (0.0) (0.1)(6.4)(11.0)
(5.3)(23.7)(25.4)
(18.8)
(8.8)
02004006008001,0001,2001,4001,6001,800
0 2 5 12 22 32 40 135 600 1,200 1,800 3,0000102030405060708090100
The figures in brackets correspond to the percentage of total lines. They do not add to 100% since AVEs are not 
estimated for 11 lines.
WTO Secretariat calculations, based on data provided by the Egyptian authorities.Chart III.1
Breakdown of applied MFN duties, 2005
Number of tariff lines
Note:
Sourc e:Percentage
Number of lines 
Cumulated percentage (right-hand scale)
 
Table III.2 
Summary analysis of the MFN tariff, 2005  
Applied 2005 rates 
 No. 
of linesa No. of lines 
used Simple avg. 
tariff (%) Tariff range 
(%) Std-dev 
(%) CV Imports 
2003b 
(US$ million) 
Total 5,687 5,676 20.0 0-3,000 148.3 7.4 10,892.7 
By WTO definitionc               
Agriculture 769 758 66.4 0-3,000 386.6 5.8 2,679.9 
Live animals and products thereof 97 97 18.4 5-32 13.0 0.7 218.4 
Dairy products 36 36 11.5 2-32 9.1 0.8 123.8 
Coffee and tea, cocoa, sugar, etc. 146 146 35.4 2-3,000 247.3 7.0 212.0 
Cut flowers and plants 34 34 4.0 2-32 7.1 1.8 9.4 
Fruit and vegetables 158 158 15.9 2-40 12.8 0.8 212.7 
Grains 16 16 3.3 2-5 1.5 0.5 1,136.7 
Oil seeds, fats, oils and their products 99 99 6.4 0-32 5.8 0.9 421.9 
Beverages and spirits 38 38 1,028.8 12-3,000 1,346.4 1.3 1.9 
Tobacco 12 1 22.0 22 0.0 0.0 188.6 
Other agricultural products 133 133 4.1 0-32 4.5 1.1 154.3 
Non-agriculture (excl. petroleum) 4,911 4,911 12.8 0-3,000 44.5 3.5 6,544.4 
Fish and fishery products 116 116 8.5 2-32 9.0 1.1 98.5 
Mineral products, precious stones and 
precious metals 346 346 9.7 0-40 9.0 0.9 589.9 
Metals 639 639 9.8 0-40 8.8 0.9 949.1 
Chemicals and photographic supplie s 920 920 9.5 0-3,000 99.1 10.5 1,392.3 
Table III.2 (cont'd)Egypt WT/TPR/S/150/Rev.1 
 Page 29 
 
 
Applied 2005 rates 
 No. 
of linesa No. of lines 
used Simple avg. 
tariff (%) Tariff range 
(%) Std-dev 
(%) CV Imports 
2003b 
(US$ million) 
Leather, rubber, footwear and travel 
goods 182 182 13.9 0-32 11.4 0.8 148.2 
Wood, pulp, paper and furniture 262 262 13.5 0-40 10.9 0.8 745.2 
Textiles and clothing 887 887 24.4 0-40 12. 1 0.5 279.0 
Transport equipment 165 165 16.3 0-135 25.9 1.6 348.9 
Non-electric machinery 591 591 6.2 0-40 8.5 1.4 1,108.0 
Electric machinery 314 314 9.2 0-40 12.3 1.3 582.3 
Non-agricultural articles n.e.s. 489 489 14.0 0-40 12.8 0.9 303.0 
By ISIC sectord        
Agriculture, hunting, forestry and 
fishing 297 294 5.8 0-40 6.9 1.2 1,545.9 
Mining and quarrying 103 103 3.0 0-22 3.2 1.1 140.2 
Manufacturing 5,286 5,278 21.1 0-3,000 153.7 7.3 7,676.8 
By stage of processing        
Raw materials 640 637 4.8 0-40 6.2 1.3 2,433.6 
Semi-processed products 1,801 1,801 10.6 0-3,000 70.9 6.7 2,346.9 
Fully processed products 3,246 3,238 28.2 0-3,000 188.6 6.7 4,582.4 
a Total number of lines is listed. Tari ff rates are based on a lower frequency (num ber of lines) since 11 tariff lines are speci fic 
duties and no ad valorem  equivalent were estimated.  
b The total imports figure is higher than the sum of sub-items due to US$1,529.7 million of imports  that have not been classifi ed 
 in the Harmonised System nomenclature. 
c Seven tariff lines are excluded from WTO definition (essentially petroleum products).  
d International Standard Industrial Classification (Rev.2).   Electricity, gas and water are excluded (1 tariff line). 
Note: CV = coefficient of variation. 
Source : WTO Secretariat estimates, based on data provided by the Egyptian authorities. Imports 2003 from UNSD, 
Comtrade database. 
29. Egypt's tariff structure clearly reveals a pattern of positive escalation, with average tariffs of 
4.8% on raw materials, 10.6% on semi-proces sed goods, and 28.2% on  fully processed goods.  
Further disaggregation of the tariff at the ISIC (Rev ision 2) two-digit level depicts particularly strong 
escalation in the food processing industry, and fo r the textile and apparel, and wood processing 
industries (Chart III.2).  In aggregate, this tariff st ructure, with positive escalation, hides high levels of 
effective protection of almost all industries, excep t for those fabricating metal products (which have 
negative escalation).  
 WT/TPR/S/150/Rev.1 Trade Policy Review 
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0.05.010.015.020.025.030.035.040.045.050.0Chart III.2
Tariff escalation by ISIC 2-digit industry, 2005
Per cent
Sourc e: WTO Secretariat estimates, based on data provided by the Egyptian authorities.
All product s
Food, beverages
Textiles,
apparel
Wood products
Paper, printing
Chemicals ,
plastics
Non-metalli c
minera l
products
Basic meta l
products
Fabricated meta l
products
Other
manufacturin gNOT APPLICABLEAgricuture
MiningRaw materials Semi-processed Fully processed125.7
120.0130.0
 
(b) MFN tariff bindings 
30. As a result of the Uruguay Round, over 98% of Egypt's tariff lines are bound (all but two lines 
in agriculture and 97% of non-agricultural lines).  The unbound non-agricultural tariff lines include 
rubber and rubber articles, machinery and mechani cal appliances, and electrical equipment.  The 
unbound agricultural lines concern carcasses and hal f-carcasses (HS 0201.10.00) and other cuts with 
bone (HS 0201.20.00). 
31. The overall bound tariff rates average 38.6% in 2005, down from 45.0% in 1998.  The bound 
rates average 92.2% on agricultural products (WTO definition), and 29% on non-agricultural 
products.  Bound rates range between  2% and 3,000%;  11 bound rat es (all on tobacco products) are 
specific.  The highest bound rates are on bevera ges and spirits.  Average bound rates are also high on 
animals and products thereof;  transport equipment;  and leather, rubber, footwear, and travel goods.   
32. Although applied rates are in most cases consid erably lower than bound rates, on 19 tariff 
lines they exceed, sometimes substantially, the corr esponding bound rates (Table III.3).  At the time 
of Egypt's last TPR in 1999, 704 tariff lines had a pplied rates that exceeded bindings.  The authorities 
indicate that in case applied rates exceed bound ra tes, the Customs Administration applies the bound 
rates for WTO Members.    Egypt WT/TPR/S/150/Rev.1 
 Page 31 
 
 
Table III.3 
Tariff lines with applied rates higher than the corresponding bound duties, 2005  
HS code Description MFN 2005 Final bound rate 
1602.90.10 Prepared or preserved meat of swine 32.0 25.0 
2403.99.20 Tobacco extracts and essences 22.0 20.0 
3006.70.00 Gel preparations designed to be used  in human or veterinary medicine as a 
lubricant for parts of the body for surgical operations or physical examinations or as a coupling agent between the body and medical 
instruments 12.0 10.0 
8451.21.00 Drying machines of a dry linen  capacity not exceeding 10 kg. 40.0 20.0 
8501.40.10 Other AC motors, single-phase from 92 W and up to 552 W, of a single 
speed 32.0 2.0 
8501.40.20 Other AC motors, single-phase of an output exceeding 37.5 kW up to 
1,000 W of different speed 32.0 2.0 
8501.51.10 Other AC motors, multi-phase, of  an output 552 W and up to 750 W 32.0 2.0 
8501.52.20 Other AC motors, multi-phase, of an output exceeding 750 W and up to 
74 kW 32.0 2.0 
8520.90.90 Magnetic tape recorders and othe r sound recording apparatus, whether or 
not incorporating a sound reproducin g device, other than dictating 
machines, telephone answering machines  and other magnetic tape recorders 
incorporating sound reproducing apparatus 32.0 20.0 
8544.70.00 Optical fibre cables 12.0 10.0 
ex8703.23.90 Motor cars and other motor vehicl es principally designed for the transport 
of persons, with spark-ignition inte rnal combustion reciprocating piston 
engine, of a cylinder capacity exceeding 1,600 cc but not exceeding 
3,000 cc, other than ambulance and j eep type – Recreation vehicles 135.0 70.0 
ex8703 24 90 Motor cars and other motor vehicl es principally designed for the transport 
of persons with spark-ignition inte rnal combustion reciprocating piston 
engine, of a cylinder capacity exceeding 3,000 cc, other than ambulance and jeep type – Recreation vehicles 135.0 70.0 
ex8703.32.90 Motor cars and other motor vehicl es principally designed for the transport 
of persons with compression-ignition internal combustion piston engine 
(diesel or semi-diesel), of a cylinder capacity exceeding 1,600 cc but not 
exceeding 2,500 cc, other than ambulance and jeep types – Recreation 
vehicles 135.0 70.0 
ex8703.33.90 Motor cars and other motor vehicl es principally designed for the transport 
of person, with compression-ignition internal combustion piston engine 
(diesel or semi-diesel), of a cylinde r capacity exceeding 2,500 cc, other than 
ambulance and jeep type – Recreation vehicles 135.0 70.0 
ex8703.90.90 Motor cars and other motor vehicl es principally designed for the transport 
of persons, other than those specially  designed for travelling on snow;  golf 
cars, those with spark-ignition internal combustion reciprocating piston engine and those with compression- ignition internal combustion piston 
engine (diesel or semi-die sel) – Recreation vehicles 135.0 70.0 
9405.40.10 Motion picture or th eatrical spotlights 5.0 3.0 
9405.40.20 Shadows spotlights commonly used  in surgical operation rooms 5.0 3.0 
9405.40.90 Other electric lamps 40.0 3.0 
9603.30.90 Brushes other than pain ting and writing br ushes 32.0 30.0 
Source: WTO, CTS database and data provi ded by the Egyptian authorities.  
(c) Preferential tariffs 
33. Egypt grants tariff preferences on a reciprocal  basis to the European Communities, Iraq, 
Lebanon, Libya, and Syria under bilateral agreem ents;  the other members of the GAFTA, and 
COMESA;  and under the GSTP.  
34. Since 1989 , Egypt has offered improved market access to the least developed countries 
(LDCs).  This scheme includes tariff reductions  on applied rates of 10 to 20% for around 
100 products, including animal and fi sh products;  dairy products;  cereals;  edible oil products;  WT/TPR/S/150/Rev.1 Trade Policy Review 
Page 32 
 
 
minerals;  and natural and artificial fibres.9  In addition, duty-free access is granted for around 50 raw 
materials (mainly minerals).  In 2000, Egypt also reduced its tariffs on certain goods originating from 
LDCs by 10 percentage points.   
35. Egypt does not apply any seasonal tariffs, alth ough some of its bilateral Arab trade 
agreements provide for the possib ility of seasonal tariff reductions fo r selected agricultural products.  
(d) Exemptions and concessions 
36. A wide range of tariff and tax exemptions a nd concessions are available to importers and 
exporters (Table III.4);  the number of schemes and their extent have basically remained unchanged 
since Egypt's last TPR.  The numerous individual schemes and their wide scope, coupled with the 
possibility of discretionary decisions, reduce the tran sparency of Egypt's tariff regime.  Provisions on 
tariff exemptions and concessions are contained in  the Customs Law (Law 66/1963), as amended, the 
Customs Exemptions Law (Law 186/1986), as amended, and its Executive Statutes 
(Decree 193/1986).  No information is available on the volume of duties forgone. 
Table III.4 
Tariff exemptions and concessions, 2005 
Scheme Eligibility Conditions 
Exemption  Imports into the free zones, except furniture and motor cars, 
and machinery and equipment imported for establishing 
free-zone projects Goods destined for the free zones may be sold 
domestically only upon payment of full customs duties.  
Imports destined for the free zones also exempt from all customs procedures  
 Imports by:  the Ministry of Defence, companies and 
organizations affiliated to the Ministry of Military Production;  the National Security Authority;  and the 
Presidency of articles for formal use as defined by the 
General Secretary of the Presidency and by the Ministry of the Interior Imports for rearmament purposes  
 Gifts and donations to the Government Approval by the Customs Authority 
 Passenger cars of less than 1,800 cc with special medical 
equipment for the personal use of injured or handicapped persons Attestation by the General Medical Council 
 Articles exempted by presidential decree.    
Drawback All importers are entitled to duty drawback Full customs duties refunded provided that the products 
are destined for a free zone or are re-exported within two financial years of the date of payment of duties.  
Partial drawback available for goods imported to areas 
with partial exemption from customs duty 
Temporary exemption Primary materials and intermediate goods imported for 
processing, and imports of parts for repairing or completing 
the manufacture of finished goods Importer required to deposit a security or guarantee 
covering the value of taxes and duties payable to 
customs.  Guarantee returned upon export of the good, 
or completion of the finished good 
Temporary release Ministries, government departments and companies 
administered by government departments Conditions determined by the Minister of Treasury 
Concessional duty Investment Scheme for Arab and Foreign Funds 
 Companies established under Law 159/1981 
 Companies established in the free zones 
 Inputs into the free zones 5% single rate for all imports of machinery and 
equipment required to establish a company or project, including hotels tourist establishments, and urbanization projects 
 Semi-finished goods reimported as finished products Tariff duties charged on value added and additional 
material used (c.i.f.)  
 Alcoholic beverages Imports by hotels and tourist establishments 
  Table III.4 (cont'd) 
                                                      
9 Egypt announced the introduction of this scheme in WTO document WT/COMTD/W/47, 
15 October 1998;  the tariff lines concerned are indicated in WTO document WT/COMTD/W/47/Add.1, 25 January 1999. Egypt WT/TPR/S/150/Rev.1 
 Page 33 
 
 
Scheme Eligibility Conditions 
Assembly industries may request that their products be 
treated as follows:  
-  completely-knocked-down (CKD) parts imported by factories under supervision of the Customs Administration are subject to the import duty rate imposed on the final product, less 20%;  Assembly industries 
-  if locally manufactured parts are used, manufactures 
are entitled to a reduction in import duty rates up to 75% 
Source :  Customs Law, Customs Exempti on Law and its Executive Statutes. 
37. Tariff exemptions granted by Egypt include im ports destined for free zones (with certain 
exceptions) and imports by some government minist ries and their agencies.  A duty drawback scheme 
is available for exports (section (3)(iv)).  Under Ar ticle 101 (temporary release) of the Customs Law, 
goods imported by public institutions and state-owne d enterprises may also be exempted from duty 
obligations on a discretionary basis.  Presiden tial Decree 186/1986 also allows the Prime Minister, 
under special circumstances, to exempt certain products from customs duties.  According to the 
authorities, however, this provision has never been used.   
38. Reduced rates of customs duty are applied on imports under specific schemes, such as the 
Investment Scheme for Arab and Foreign Funds, an d on imports by limited-liability and joint-stock 
companies formed under Law 159/1981.   Tariff reductions are also available for assembly industries;  
the reduction rates depend on the local content in the assembled product (section (4)(v)).   
(v) Other taxes and charges 
39. In September 2004, Ministerial Decree 1230/2004 eliminated all customs service fees and 
charges on imports.  Before that date, a charge of  1% for inspection, listing, and classification of 
shipments was imposed on the c.i.f. value of all imports.  An additional fee was levied at 2% on 
commodities subject to customs duties of 5% to 29%;  3% on duties of 30%;  and 4% on over 30%.   
40. A general sales tax (GST), introduced by Law 11/ 1991, applies at rates between 5% and 45% 
(Table III.5).  Goods and services not specified in th e Law are subject to a rate of 10%.  The legal 
framework for the GST is laid down in Laws 11/1991, 17/1901, 11/2002, and 89/2004.  In 2001, the 
coverage of the GST was extended to the wholesale a nd retail levels.  Essential commodities, such as 
basic foods, are exempt from the sales tax, as are ne wsprint, papers and maga zines, and some drugs.  
The GST applies equally to im ported and domestic goods.   
Table III.5 
General sales tax rates, 2005 
Goods  
GST at 5%  
Coffee, whether or not roasted or decaffe inated, coffee husks and skin s, coffee substitutes containing coffee in any proportion   
All flour products and sweets made of pastry  expect all kinds of fixed price bread 
Soap and detergents for home use purposes 
Fertilizers 
Disinfectants, insecticides, fungicides, herbicides, anti-sprouting, rat poisons, for agricultural purposes 
Gypsium 
Wood sawn in sheets lengthwise, sliced or peeled, and sheets for plywood and reconstituted wood a nd fibreboard but not further 
manufactured 
Bars and rods of iron for building;  waste and sc rap metal of iron or steel;  blooms and billets 
GST at 10% 
Vehicles for transport of goods 
Ambulance cars, hearses, and fire engine vehicles 
Table III.5 (cont'd)  WT/TPR/S/150/Rev.1 Trade Policy Review 
Page 34 
 
 
GST at 15% 
Motor vehicles of less than 1,600 cc 
GST at 25% 
Coloured televisions over16 inches whether or not  incorporated in any other set or equipment 
Refrigerators and refrigerating equipment of capacity more than  12 cubic feet for private home use and display refrigerators fo r ships 
and hotels and all such equipment used in other places  
Deep freezes with capacity of 10 feet or more 
Sound recorders and reproducers, image and sound recorders and/or reproducers (video) 
Air-condition units and parts thereof 
Cameras and parts thereof 
Perfumery, cosmetics or toilet preparations and products prepared for hair and skin care 
Chandeliers and parts thereof 
Tapes for recording images and sounds (video tapes) 
Special cars for the transport of persons on golf courses and other similar vehicles 
GST at 30% 
Motor vehicles with capacity between 1,600 cc and 2,000 cc 
Motor vehicles for the transport of goods and persons  
Jeep motor vehicles 
Camping trailers 
GST at 45% 
Motor vehicles of more than 2,000 cc 
Vehicles for leisure and camping 
Services 
GST at 5% 
Air-conditioned means of transportation be tween Governorates (buses, railway) 
Artistic agent services at public and private parties 
Services of fixed phones, local telegrams to the pub lic, government cabins, etc. , other than mobile phones 
GST at 10% 
Services for hotels and tourist restaurants other than free services rendered by such bodies to their workers 
Services of tourist transportation companies 
Telex and fax services 
Sound and light show services 
Use of sound and light companies' utilities 
Services of installation of tele phone connections and fittings, wire and wireless, and others 
Processing for a third party 
Private car hire services 
Express mail services 
Services of cleaning and private security companies 
Use of highways  
Sales intermediaries for real estate and cars 
GST at 15% 
Mobile phone communication services 
Services of international communications, telegrams, informa tion communication, and internati onal telephone calls by fixed phon es 
Source : Egyptian Sales Tax De partment online inform ation.  Available at:  http: //www.salestax.gov.eg/guide10.htm 
 [2 November 2004].  
(vi) Import prohibitions, restrictions, and licensing 
41. Egypt maintains import prohibitions for economic, environmental, health, safety, sanitary, 
and phytosanitary reasons.  The import prohibitions apply equally to all tr ading partners.  Import 
prohibitions apply to edible offal of poultry (i ncluding liver).  They also apply to hazardous 
chemicals, and certain chemicals and pesticid es under Ministerial Decree 147/1996.  Law 4/1994 
prohibits the import of hazardous  wastes.  The import of products  using/containing ozone-damaging 
substances (with the exception of medical products) is prohibited as part of Egypt's participation in the 
Montreal Protocol.  Pursuant to Article 46 of  the Telecommunications Law, imports of used 
telecommunications materials for trading purposes ar e prohibited.  Pursuant to Decree 580/1998, 
automobiles can be imported only during the year of their manufacture;  this effectively bans the 
import of second-hand cars.  Import prohibitions were lifted on most textile a nd clothing products in 
2004, through Ministerial Decree 161/2004.   Egypt WT/TPR/S/150/Rev.1 
 Page 35 
 
 
42. Egypt does not have quotas or tariff quotas on impor ts.  In general, it does not subject imports 
to licensing or prior approval.  The import of certain products is subject to specific administrative formalities.  Permits from the National Telecommunications Regulatory Authority are required for the 
import of telecommunications equipment.  
(vii) Contingency trade remedies 
(a) Legal background and procedures 
43. Law 161/1998 on the Protection of the National Economy from the Effects of Injurious 
Practices in International Trade, along with its  Executive Regulations, establish procedures to be 
followed in anti-dumping, countervailing or safeguard investigations.  A ll complaints must be made in 
writing to the Central Department of  International Trade Policies, in the Ministry of Foreign Trade 
and Industry.  The request for an investigation must  be registered on behalf of the domestic industry 
by interest groups such as industry associations, or by the Ministries of Agriculture or Industry, or the business public sector.  Investigations are only to be considered if the application is supported by 
domestic producers whose collective output accounts for at least 25% of total output of the domestic 
industry concerned.   
44. The Central Department must inform the app licant whether the request has been accepted 
within seven days of its receipt.  Within 30 days of registering the request, the Central Department must submit a preliminary report to an inter-Ministerial Advisory Committee, with its recommendations.  The Advisory Committee makes a decision based on recommendations made by the Central Department and on the interests of Egypt;  it must present its recommendations to the 
Minister of Foreign Trade and Industry within ten days of receiving the report of the Central 
Department.  The Minister may accept or rej ect the recommendations made by the Advisory 
Committee.  
(b) Anti-dumping and countervailing measures 
45. Provisional anti-dumping or countervailing measures,  not greater than the margin of dumping 
or the subsidy rate, may be taken 60 days from the date of initiation of the investigation and may be 
applied for a period of up to four months.  Th is period may be extended to six months, on a 
case-by-case basis, depending on the need for extensi on.  In the case of anti-dumping measures, if 
there is a possibility that a duty lower than the margin of dumping would be sufficient to remove 
injury, provisional measures may be applied for a six-month period, extendable to nine months. 
46. Final measures may be taken for a period not exceeding five years from the date of their 
publication.  Review of the final measures may be ca rried out after one year and must be initiated at 
least six months before the end of the five-year pe riod.  Any such review must be completed within 
one year, during which time the final measures remain in force;  thus, final measures may be in place 
for five and a half years.  Following the review, final measures may be reimposed for a further five years, if necessary.   
47. The Central Department may recommend terminat ion of an anti-dumping investigation if the 
volume of dumped imports from a particular country is less than 3% of the total, unless countries 
accounting individually for less than 3% collectively acc ount for more than 7% of the total; or if the 
margin of dumping is less than 2% of the export price.  For countervailing measures, termination of 
the investigation is recommended if the amount of subsidy is less than 1% of the value of the 
subsidized goods, or if the imposition of a counterva iling duty is considered to  be inconsistent with 
Egypt's obligations under GATT, for example, where green-box subsidies are identified. WT/TPR/S/150/Rev.1 Trade Policy Review 
Page 36 
 
 
48. Egypt's legislation on anti-dumping and countervailing measures was reviewed in the WTO 
Committee on Anti-Dumping Practices and the Committee on Subsidies and Countervailing 
Measures.  Australia, the European  Communities, Romania, and the United States asked questions to 
which Egypt replied.10 
49. Between August 1999 and January 2005, Egypt initiated 17 anti-dumping investigations, of 
which 14 resulted in the imposition of definitive anti-dumping duties.  Egypt has 14 definitive 
anti-dumping duties in force, most of which were on electric lamps and tyres (Table III.6).  
Table III.6 
Definitive anti-dumping duties in force, 2005 
Country/Customs 
territory Product Date of  
imposition Dumping 
margin Date last 
reviewed 
China, People's 
Republic of New pneumatic tyres rubber of a kind used on 
motor cars including station wagons and racing 
cars, and of a kind used on light trucks Porcelain or ceramic tableware 
Dry cell batteries 1.5 volts – AA size (R6) 29 May 2002 
 
 25 February 2003 
14 June 2004 67% - 195% 
 
 268% 
228%  
France Tyres 4 October 1999 4.4% - 13% 3 April 2005 
Other EC countries Tyres 4 October 1999 14% - 86% 3 April 2005  
Hungary Common electric filament lamps from 
25-200 watts 5 September 2002 76%  
Indonesia Common electric filament lamps from 
25-200 watts 5 September 2002 228%  
Italy  Common electric filament lamps from 
25-200 watts 5 September 2002 183%  
Japan Tyres  4 October 1999 5% - 89% 3 April 2005 
Korea, Republic of Tyres 4 October 1999 5.5% - 17% 3 April 2005  
Pakistan  Matches in boxes regular  size 19 November 2003 26% - 29%  
Romania Common electric filament lamps from 
25-200 watts 5 September 2002 69% - 78%  
Spain Common electric filament lamps from 
25-200 watts 5 September 2002 342%  
Chinese Taipei Common electric filament lamps from 
25-200 watts 5 September 2002 100%  
Source:  WTO document G/ADP/N/126/ EGY, 10 January 2005.  
50. Egypt has submitted several communicati ons to the Negotiating Group on Rules.11  I n  
particular, Egypt considers that any proposal to substantially alter the WTO Anti-Dumping 
Agreement, through the use of mo re complex and stringent rules, will not prevent the misuse of the 
Agreement, and that the introduction of new rul es to the Agreement would be counterproductive.  
However, adequate disciplines should be provid ed to protect developing country firms from 
unnecessary investigations, particularly as these firms are generally small or medium-sized. 
51. Egypt has not taken any countervailing action since its last TPR in 1999.  Egypt's last 
countervailing investigation, on EU s ubsidies for refined sugar, terminat ed in July 1999 with no injury 
being determined.    
                                                      
10 WTO documents G/ADP/Q1/EGY/1-6, 10 July 1997 to 26 September 1999. 
11 WTO documents TN/RL/W/48/Rev.1, 5 February 2003;  TN/RL/W/55-57, 10 February 2003;  
TN/RL/W/79, 24 March 2003;  TN/RL/W/79/Corr.1, 11 April 2003;  TN/RL/W/100-102, 6 May 2003;  
TN/RL/W/105, 8 May 2003;  TN/RL/W/110, 22 May 2003;  TN/RL/W/102/Corr.1, 5 June 2003;  
TN/RL/W/110/Corr.1, 11 June 2003;  TN/RL/W/126, 17 June 2003;  TN/RL/W/128, 19 June 2003;  and TN/RL/W/140-141, 22 July 2003.  Egypt WT/TPR/S/150/Rev.1 
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(c) Safeguard measures 
52. Pursuant to Law 161/1998, provisional safeguard  measures may be imposed in the form of 
tariff increases, for a maximum of 200 days.  Defi nitive measures may be imposed in the form of 
quantitative restrictions or tariff increases or both.  The measures are to be imposed to the extent 
necessary to prevent or remedy th e injury caused, where "to the exte nt necessary" is determined by 
the size of injury, adjustment programme, and public -interest factors.  Final measures are applied for 
up to four years and the period of application may be extended to ten years (inclusive of the period during which provisional measures were applied). 
53. Since its last TPR in 1999, Egypt has imposed  safeguard measures on two products:  common 
fluorescent lamps, and powdered milk.  Investig ations relating to the importation of common 
fluorescent lamps, initiated in September 1999, found evidence of serious injury to the domestic industry;  they resulted in an additional duty of 30%  for one year as of February 2000.  The measure 
was extended by one year in February 2001,  with the additional duty reduced to 25%.
12  T h e  
investigation relating to the impor tation of powdered milk found evidence of serious damage to the 
domestic industry;  a provisional saf eguard measure in the form of an additional duty of 45% entered 
into force in September 2000.  A definitive duty of  15% was imposed in April 2001, declining to 7% 
in April 2002, and 3% in April 2003.13 
(viii) Standards and other technical requirements  
(a) Standards and technical regulations 
54. The Egyptian Organization for Standardizati on and Quality (EOS), a semi-autonomous body 
affiliated to the Ministry of Foreign Trade and Industr y, is the national authority in all matters related 
to standardization, quality control, and metrology.   It is also the national TBT enquiry point.14  While 
the EOS, with more than 1,000 permanent staff me mbers, formulates and sets standards, verification 
of compliance is the responsibility of agencies a ffiliated to different ministries, including the 
Ministries of Agriculture and Health, the Atomic Energy Authority the National Telecommunications 
Regulatory Authority and, for imported goods, th e General Organization for Export and Import 
Control (GOEIC) in the Ministry of Foreign Trade and Industry   
55. Egypt has accepted the WTO Code of Good Practice for the Preparation, Adoption and 
Application of Standards.15  It is a member of the International Organization for Standardization 
(ISO). The EOS has signed cooperation agreements in the field of standardization and related 
activities with most Arab countries, China, France, and Uganda.   
56. Draft standards are developed by EOS technical  committees (currently 105).  Within their 
scope, technical committees determine their ow n work programmes to identify the market 
requirements for individual work items.  Th e committees include representatives from research 
organizations, control authorities, producers, consum ers, and chambers of commerce and industry.  A 
draft standard, once developed by a technical committ ee, is circulated to all interested persons for 
comments for a period of at least two months.  Once all the relevant comments have been 
incorporated and a final draft developed, the standa rd must be formally adopted by the EOS Council, 
comprising, amongst others, heads of holding comp anies and control aut horities, as well as 
representatives from the legal profession and the media.   
                                                      
12 WTO document G/SG/N/6/EGY/2/Suppl.1, 7 February 2001. 
13 WTO document G/SG/N/8/EGY/4, 3 April 2001. 
14  WTO document G/TBT/ENQ/25, 13 October 2004.  
15 WTO document G/TBT/CS/N/17,  1 November 1995.  WT/TPR/S/150/Rev.1 Trade Policy Review 
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57. Egypt's standards do not distinguish between foreign and domestic goods.  There are 3,387 
standards, of which 387 were mandatory.  The ma jority of the mandatory standards concern food 
products, engineering goods, and te xtiles and clothing.  In the ab sence of a mandatory Egyptian 
standard, importers may choose a re levant standard among seven inte rnational standard systems.  
Importers are usually required to inform the GOEIC of the standard s to be applied to imported goods, 
prior to import.  In the absence of a mutual recognition agreement between Egypt and the exporting 
country, the imported product is subject to inspec tion and test in Egypt, even if covered by a 
certificate. 
58. Egyptian standards are reviewed periodically, usua lly once every five years, to ensure their 
relevance to current requirements.  In December  2004, Egypt embarked on a programme to ensure 
that all its standards comply with international standards.  The EOS had completed the harmonization 
of all 387 mandatory standards in March 2005;  2,000 of the 3,000 voluntary standards will be 
reviewed during the remainder of 2005 and the rema ining 1,000 standards at the beginning of 2006.  
59. In addition to standards, the EOS also issues quality and conformity marks.  The latter are 
mandatory for, inter alia, engi neering goods, and address health and safety concerns.  The quality 
mark is issued by the EOS upon request by a produ cer and is valid for two years;  goods carrying the 
mark are subject to random testing.   
60. Egypt has made no notifications to the WTO Committee on Technical Barriers to Trade since 
its last TPR in 1999.  The authorities indicate that  Egypt will resume submitting notifications once the 
review of its standards has been completed. 
(b) Quality control measures 
61. Egypt maintains a long list of imports that are s ubject to mandatory quality control.  The list, 
which is contained in Annex 8 of the Import a nd Export Regulations, includes foodstuffs, electronic 
products, spare parts, consumer products, live animal s, iron tubes and pipes, ceramic sanitary ware, 
stoves and heaters, steam boilers, washing machin es, electrical equipment, motor vehicle parts, 
pencils, and textiles. The authorities indicate that si milar measures are applied to equivalent domestic 
products. 
62. Inspections are carried out by the General Organization for Export and Import Control, and 
inspection fees range up to LE 10 per ton.  The quality  control examination for textiles is executed by 
a committee that includes representatives of the domestic spinning and weaving industries.  
63. Quality control decisions may be appealed.  Procedures for complaints are laid down in 
Ministerial Decree 593/2003.  Complaints must be ma de in writing to the relevant branch of customs 
within 72 hours.  The complaint is examined by a committee composed of six members and chaired 
by the head of the foreign trade policies sector of  the Ministry of Foreign Trade and Industry.  A 
decision must be taken by the Committee within 48 hours.  In 2004, the committee studied 1,168 
cases (including on export quality control), of which it settled 663.  
(c) Sanitary and phytosanitary measures 
64. In addition to quality control, there are vari ous controls and inspection procedures for food 
products, live animals, and animal and plant produc ts.  The controls are implemented by the Food 
Control Agency for foods products;  the Atomic En ergy Agency, to examine radiation levels;  the 
Agriculture Quarantine Body for fruit and seeds;  and the Animal  Quarantine Body for fresh and 
frozen animal products, hides and skins, and raw wo ol.  The authorities indicate that the duration of 
inspections depends on the product, but  is usually less than a week.   Egypt WT/TPR/S/150/Rev.1 
 Page 39 
 
 
65. The import of beef from animals less than 30 months old originating from BSE infected 
countries is banned.  Pursuant to Decree 1647/1997, importers of live animals must submit an import 
request to the General Organization for Veterinary  Services indicating the following information:  
number and type of animals, country of origin, shipping port, expected arrival date, means of 
transportation.  The consignment must be accompanied by a veterinary certificate issued by the 
competent authority in the country of origin, and notarized at the Egyptian Consulate.  Upon arrival, further veterinary procedures, including physical inspections, may be applied. 
66. Pursuant to Annex 3 of the Import and Export Regulations, the following goods are subject to 
radiation inspection:  foodstuffs, oils and fats a nd products thereof, live animals except for camels 
imported from Sudan, plants and seeds, animal fodder , milk substitutes, and tobacco.  Certificates are 
issued by the Atomic Energy Agency. 
67. Importers of meat products must provide th e following certificates before the product is 
accepted:  a slaughter certificate proving that the an imal was slaughtered in  accordance with Islamic 
ritual (halal), issued by an entity approved by  the Commercial Office of the Egyptian Embassy or 
Consulate in the country of origin
16;  a veterinary certificate, issued in the country of origin, 
confirming that any animal used in the making of the product was examined before and after 
slaughter, and is free from contagious disease;  and a certificate of origin indicating the exporting 
country, number of parcels, type of meat, date of inspection, production and expiration dates, name of 
exporter, port of entry, and the name of the cons ignee.  Frozen meat products require a further 
certificate, confirming that a temp erature of –18°C was maintained be fore export and that each piece 
was wrapped in accordance with accepted international packaging standards. 
68. Decree 2613/1994 establishes shelf-life requireme nts for foodstuffs by imposing a maximum 
validity period, defined as the period in which the product maintains its basic characteristics and 
remains edible and apt for marketing under the de signated conditions of packaging, transfer, and 
storage.  Foodstuffs with less than half of the va lidity period remaining should not be admitted for 
human consumption.  
69. Imported cotton is subject to fumigation in  both its country of origin and Egypt. 
70. The Foreign Trade Unit in the Ministry of  Agriculture is Egypt's SPS enquiry point.17  Egypt 
has not notified any SPS measures to the WTO since 1999. 
(d) Packaging, marking, and labelling 
71. Packed goods must be in packaging that en sures their preservation.  The product should 
occupy the space of the packaging in full;  wooden containers must  be accompanied by an official 
certificate declaring the containers to be fr ee of insects and pests.  For imported non-food 
commodities, Decree 396/1994 established that the remaining shelf-life should be at least half the original shelf-life.  
72. All foodstuff must be labelled with the following in formation, in Arabic and at least one other 
language:  name of the producer, country of orig in, description of the commodity, name and address 
of the importer, production date, e xpiry date for consumption, preser vation and storing conditions for 
easily perishable goods, mode of preparation for g oods to be prepared before consumption, net and 
gross weight, and additives and preservatives included. 
                                                     
 
16 The institution issuing the halal certificate shou ld be approved by the General Organization for 
Veterinary Services.   
17 WTO document G/SPS/ENQ/18, 20 December 2004.  WT/TPR/S/150/Rev.1 Trade Policy Review 
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73. Appliances, machinery and equipment must be accompanied by:  a manual in Arabic 
containing illustrative drawings of the parts;  asse mbly and operating instructions;  maintenance;  
details of the electric circuitry for electronically  operated appliances;  and security precautions.  
Imported fabric must have the name of  the importer woven into the cloth.  
(ix) Other measures  
74. Egypt has signed a number of countertrade agreements, but the authorities indicate that 
implementation of these agreements at the government level has ceased.   
75. No information is available on goods subject to compulsory reserve stocks.  
(3) MEASURES DIRECTLY AFFECTING EXPORTS  
(i) Registration, documentation, and controls  
76. Egypt does not require any export approval.  Condi tions to be fulfilled by exporters are laid 
down in Articles 63 to 69 of the Import and Export Regul ations.  Exporters must be registered in the 
Commercial Register with the General Organization for Export and Import Control.  Other conditions 
to be fulfilled include a minimum capital requirement  of LE 3,000, and that the exporter must have a 
clean criminal record.  Public sector or government employees may not be registered as exporters.  
Unlike imports, exports are not restricted to Egyptian nationals.   
77. Applications for registration in the exporters' regi ster must include information on the type of 
activity or trade, and on the articles the applicant inte nds to export.  For natura l persons, a copy of the 
ID card, of the criminal record, and a transcript of  the registration record in the Commercial Register 
must be attached to the application.  Legal persons must attach a copy of the criminal record of every 
joint liability partner, and the ID card of the director.  A decision to register the potential exporter 
must be made within two days of submission of the application, provided that all the relevant 
documents are in order.  Registration must be rene wed every five years;  the fee for registration is 
LE 50.  
78. All exports must be accompanied by a customs declaration containing the following 
information:  identity of the exporter and consigne e;  type, quantity, and price of the goods;  and 
method of payment.  In addition, exporters must s ubmit an insurance certificate and a letter of credit. 
A packing list must also be added if the invoice is not sufficiently detailed. 
79. A surrender requirement for all transactions generating foreign exchange was in place 
between 2003 and 2004.  Ministerial Decree 506/2003 required exporters to sell 75% of their foreign 
currency revenues to an authorized bank in Egypt w ithin one week of receipt.  However, due to 
limited enforcement, foreign currency inflows to th e banking system were limited.  The requirement 
was abolished by Ministerial Decree 2059/2004. 
80. Certificates of origin, required by Egypt's tr ading partners under b ilateral and regional 
agreements, may be issued by the General Organiza tion for Export and Import Control.  Applications 
for a certificate of origin must be accompanied copi es of the invoice and the bill of lading, as well as a 
declaration that the consignment fulfils the ru les of origin of the agreement under which the 
consignment is exported.   The General Organizati on for Export and Import Control is bound to issue 
the certificate of origin within 24 hours of submission of the complete application.  
81. All exports are subject to random inspection by the General Organization for Export and 
Import Control, which may check between 1% and 10% of each exported consignment to ensure Egypt WT/TPR/S/150/Rev.1 
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compliance with export conditions and specifications , and any quality control requirements, before 
issuing a clearance certificate.18  The inspection must be carried out within one week of presentation 
of the goods (24 hours in the case of perishable goods).  The certificate, if requested, must be issued 
within 24 hours of the inspection and sooner in th e case of perishable goods or goods shipped by air.19  
82. Some 50 products mentioned in Annex 9 of the Import and Export Regulations are subject to 
quality controls.  The goods are raw or processed ag ricultural products, including juices, rice, citrus 
fruit, and various vegetables.  Quality control deci sions may be appealed (section (2)(viii)(b)).  The 
responsible committee must take a decision within 24  hours.  Control fees are laid down in Annex 8 to 
the Import and Export Regulations;  the fee for grain flour, for example, is LE 1 per ton with a ceiling 
of LE 10,000 per consignment. 
83. As with importers, reliable exporters with a minimum of ten consignments a year can be 
included in a register of trustworthy traders, which entitles them to speedier controls on product 
quality (section (2)(i)).  To be included in this regi ster, companies must have a quality control system, 
produce in accordance with one of the standard s issued by the Egyp tian Organization for 
Standardization and Quality, and export a minimu m of ten consignments per year.  Currently, 
141 exporters benefit from this status. 
84. Under the Investment Guarantees and Incentiv es Law (Law 8/1997), producers and exporters 
in the free zones are exempt from all inspection and registration procedures. 
(ii) Export taxes, charges, and levies 
85. Egypt does not apply any export taxes, charges or  levies.  However, according to Article 8 of 
the Import and Export Regulations, a duty of up to 10 0% of the value of the good may be imposed at 
any time by the Minister responsible for trade;  acco rding to the authorities, this duty has never been 
imposed.  Exports are exempt from the GST. 
(iii) Export prohibitions, restrictions, and licensing  
86. Pursuant to Article 7 of Law 118/1975, the expor t of certain commodities can be prohibited or 
restricted through Ministerial decree.  The authoriti es indicate, however, that Egypt does not maintain 
any export quotas, licences, or prohibitions. 
(iv) Export subsidies, and duty and tax concessions for exports 
87. According to the authorities, Egypt does not grant any export subsidies.  However, various 
incentives are granted to encourage export-oriented  activities.  Enterprises  located in free zones 
(section (3)(v)) are eligible for various incentives. 
88. Under Articles 102 to 106 of the Customs Law,  the duty drawback scheme allows a full 
refund of customs duties paid on imports of inputs and components used in the manufacture of finished products provided that the finished products  are exported or shipped to a free zone within two 
years of the date of payment of the duties.  All excise duties incurred on local inputs are also refunded. 
                                                     
 
18 Import and Export Regulations, Article 81. 
19 Import and Export Regulations, Article 82. WT/TPR/S/150/Rev.1 Trade Policy Review 
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(v) Free zones and special economic zones 
89. Since 1974, the Government of Egypt has been promoting the establishment of free zones.  
Free zones may be established by the Council of Ministers under Article 29 of Law 8/1997.  The 
incentives offered in the free zones are meant primarily  to attract investment, to provide employment 
for Egyptians, and to encourage exports.  For invest ment in the free zones, the general provisions of 
Law 8/1997 apply (Chapter II(5));  there are no specific eligibility criteria for enterprises.   
90. There are two types of free zone:  public and private.  Public free zones are established for 
projects licensed under the provisions of Law 8/1997 , whereas private free z ones are established and 
confined to one specific project or company (Chapter II(5)).  Individual public free zones are 
managed by a Board of Directors, which licenses pr ojects within the zone.  Overall management of 
the zones is carried out by the General Authorit y for Investment and Free Zones (GAFI), which may 
also establish private free zones if appropriate.  There are seven major public free zones in Egypt 
(Table III.7);  three additional zones are under consid eration by GAFI.  There is a customs office in 
each free zone. 
91. Enterprises installed in free zones benefit fro m complete exemption from import tariffs and 
service charges, income taxes and the general sales tax.  However, enterprises established in the free 
zones are subject to a duty of 1% on the annual va lue added for manufacturing or assembly projects.  
There are no restrictions on the type of investment activities;  many types of manufacturing and service activities take place in the free zones.  Free-zo ne investors may sell all or part of their products 
on the Egyptian market after payment of the rele vant customs duties on the goods.  Production sold on 
the national market amounted to US$1,526 million in 2003, up from US$730 million in 1999.  More 
than 95% of investment in free zones is of Egyptian origin.   
92. With a view to attracting more investme nt to Egypt, Law 83/2002 provides for the 
establishment of special economic zones.  In pa rticular, the Law provides for a special customs 
system with simple and efficient procedures, tari ff-free imports of inputs and equipment, a special 
taxation system with lower rates, and a special re gime for labour relations.  As at November 2004, 
one special economic zone had been established close to the gulf of Suez. 
Table III.7 
Egypt's major free zones, 2004 
 Number of companies Cumulative investment  
(US$ million) Employment 
Alexandria 315 7,233 21,497 
Nasr City 189 2,803 38,298 
Port Said 100 1,890 23,005 
Suez 68 3,666 11,367 
Ismailia 51 116 12,075 
Damietta 26 1,783 5,266 
Media Production City 29 1,330 3,239 
Total 778 18,821 114,747 
Source:  Information provided by the General Authority for Investment. 
(vi) Export finance, insurance, and guarantees 
93. The Export Development Bank of Egypt (EDBE) , established in 1983, provides short- and 
medium-term loans to finance capital assets of e xport companies, and bank guarantees required for 
financing exports.  The guarantees are granted either  directly to the exporter, or through other banks.  
EDBE also provides credit to finance imports primarily meant as inputs for export production, and Egypt WT/TPR/S/150/Rev.1 
 Page 43 
 
 
acts as an insurer for exports against commercial and non-commercial risks.  In 2004, credits 
disbursed amounted to LE 4,432 million.  The EDBE  currently offers six individual financing 
programmes, each with its own fi nancing conditions and eligibility cr iteria.  The Agriculture Sector 
Development Programme, for example, provides expor t loans of up to LE 5 million to agricultural 
companies. 
94. In 1992, the EDBE established an Export Cr edit and Guarantee Company (ECGC) to help 
exporters improve their marketing efforts and develop new markets.  The ECGC issues export credit 
insurance guarantees covering up to 80% of any lo sses incurred.  Between 1999 and 2004, the EDBE 
guaranteed export credits totalling LE 540 million.   
(vii) Export promotion and marketing assistance 
95. The main government agencies responsible for export promotion are the Commercial 
Representation Body;  the General Organization fo r International Exhibitio ns and Fairs;  the 
International Trade Point under UNCTAD's initiative;   and the Egyptian Export Promotion Centre 
(EEPC).20  All these agencies are affiliated to the Mi nistry of Foreign Trade and Industry.  The 
authorities note that the EEPC is in a restructur ing process and has not been operational since 2001. 
96. In 2001, the government adopted a new export de velopment strategy, focussing on three main 
areas:  (i) solving exporters' bureaucratic problem s and assisting them to overcome marketing and 
financing obstacles;  (ii) enhancing the performance of Egyptian exporters in traditional markets such 
as the EU, Arab countries, and the United States;  and (iii)  opening up new markets for Egyptian 
products such as the members of MERCOSUR, the W est African Economic and Monetary Union, and 
SADC.   
97. At the sectoral level, Egypt’s export development strategy efforts focus on five priority areas:  
agricultural products, processed food products, textil es and garments, chemicals and pharmaceuticals, 
and building materials. In cooperation with the pr ivate sector, the Ministry of Foreign Trade and 
Industry tries to address problems specific to each of these industries. 
98. In 2002, Egypt adopted a new Export Promotion Law (Law 155/2002).  The Law established 
an export promotion fund with a view to increasing e xports.  According to the authorities, the fund is 
not used to subsidize exports.  Executive Regula tions to the Law have not yet been adopted 
(April 2005).  
99. The Law also provides for the establishment of a Ce ntral Unit within the Ministry of Finance.  
The Unit, which consists of representatives fro m both the Customs Authority and the General 
Organization for Import and Export Control, is r esponsible for implementing the drawback system 
provided for by the Customs Law. 
(4) MEASURES AFFECTING PRODUCTION AND TRADE  
(i) Incentives 
100. Egypt's investment legislation provides for va rious incentives (Chapter II(5)).  Other incentive 
schemes are aimed at promoting small and micro enterprises, research and development, regional 
development, and sectoral activities.  
                                                      
20 Trade Point online information.  Av ailable at:  http://www.tpegypt.gov.eg. WT/TPR/S/150/Rev.1 Trade Policy Review 
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(a) Promotion of small and micro enterprises 
101. The authorities consider the development of  small and micro enterprises (SMEs) as a 
fundamental pillar for further developing and mode rnizing the economy, and a major instrument for 
adjustment assistance.  SMEs account for ab out 99.7% of private establishments in the 
non-agricultural sector and 75% of private sector employment.  
102. The Social Fund for Development (SFD), a se mi-autonomous governmental agency under the 
direct supervision of the Prime Minister, is the main policy tool for providing support to SMEs.  It 
was established in 1991 as a joint initiative be tween the Government, the World Bank, and UNDP, 
with the task of mitigating the negative effects of  economic reform on the most vulnerable groups of 
people, and promoting economic deve lopment in backward regions.  The SFD has 26 regional offices.  
It receives funding from the Government, and fr om multilateral and bilateral donors;  the SFD's 
budget for the promotion of SMEs in 2005 is about LE 1.2 billion.    
103. In June 2004, the People's Assembly adopt ed the SME Development Law (141/2004).  
Executive Regulations to the Law were adopted in  July 2004.  The Law is aimed at providing 
incentives and facilitating the procedures required to establish and run a small or micro enterprise.  
Together with the Investment Law 8/1997, this Law is considered as the main supply-side instrument 
for achieving economic development.21  The SFD is the competent authority for implementing the 
provisions of the Law. 
104. With a view to formalizing Egypt's large inform al sector, the Law states that all licences and 
authorizations required for the establishment and operation of small and micro enterprises can be 
issued temporarily.22  These temporary licences automatically become final if no objection is raised 
by the relevant authorities within 30 days.  It also  designates an area not less than 10% in industrial, 
agricultural, touristic, and urban zones for small a nd micro enterprises.  Moreover, it includes various 
provisions to improve small and micro enterprises ' access to capital, through the SFD, and the 
establishment of trust funds in each Governorate to finance small and micro enterprises.  Public 
institutions are to procure at least 10% of their purchases from SMEs. 
(b) Other support  
105. No explicit incentives are provided to encourage investment by private companies in research 
and development (R&D) activities.  The Government does, however, fund R&D directly through the Ministry of Higher Education and Scientific Res earch;  other ministries that provide R&D funding 
from the annual state budget;  and through scientific institutions and universities.  According to the 
authorities, annual budgeted assistance for R&D is l ess than 1% of GDP.  Publicly funded R&D is 
geared towards the following priority areas:  agri culture, biotechnology, e nvironmental technologies, 
manufacturing technologies, information technology,  energy, and standards and metrology.  The 
authorities indicate that legislation is under prepar ation with a view to encouraging private sector 
investment in R&D activities. 
106. Egypt has signed a Science and Technology Cooperation Agreement with the United States 
and is about to sign a similar ag reement with the European Union (April 2005).  Under the Agreement 
with the United States, about 200 R&D projects have already been implemented. 
                                                     
 
21 Ministry of Foreign Trade (2004b):  January to March. 
22 A small enterprise is defined as any establishment practicing an economic activity with less than 
50 employees and a maximum paid capital of LE 1 million;  a micro enterprise any establishment involving the activity of one or more members of the family in their residence. Egypt WT/TPR/S/150/Rev.1 
 Page 45 
 
 
107. In October 2002, Egypt mandate d a LE 200 million subsidy programme to encourage the use 
of local cotton by textiles mills and to compen sate farmers for low world market prices.  The 
programme ended in 2003 and has not been reinstituted. 
108. The Government has taken a number of policy initiatives with a view to reducing population 
pressure in the Nile or Old Valley and attracting the population to less densely populated areas of the 
country.  This includes the development of so-ca lled new communities and new industrial zones, and 
efforts to irrigate large parts of the Western De sert.  The new communities and new industrial zones 
were established in desert areas.  They offer subsidi zed land with modern infrastructure and a ten-year 
tax holiday for all development in order to attract  investment.  The incentives offered by the 19 new 
community projects include a ten-year tax holiday;  according to the authorities, they have resulted in 
a significant increase in industri al activities in these areas.   
109. Under the South Valley Development Project, water will be channelled from Lake Nasser 
through a lifting station and a newly constructed canal of 250 kilometres to create an oasis in the Western Desert.  The canal is expected to irri gate over 900,000 hectares of land and to increase 
Egypt's habitable area from 5% to around 25% of its  total surface.  The proj ect is expected to be 
completed by 2017.  Currently, about 120 kilometres of the canal have been constructed. 
(ii) Competition policy and price controls 
110. In January 2005, the People's Assembly ad opted Egypt's first comprehensive Competition 
Law (Law 3/2005 on the Protection of Competition and Prohibition of Monop olistic Practices).  
Executive Regulations to the Law are under elaborati on.  In addition to the Competition Law, various 
provisions on competition are contained in a number of other legal instruments.  The Companies Law 
(Law 159/1981), for example, contains provisions on  mergers and acquisitions;  the Law of Supplies 
and Commerce forbids competition-reducing activi ties such as collusion and hoarding;  and the 
Telecommunications Law regulates competition in telecommunications services.  The Ministry of Internal Trade and Supply is responsible for prot ecting consumers against overcharging and fraud.  
111. The Competition Law sets out prohibitions in respect of various practices and agreements 
considered as anti-competitive per se :  e.g. price collusion, production-restriction agreements, market 
sharing, and arrangements in the tendering process.  The law also prohibits the abuse of a dominant market position, which is defined as a situation in which a company has a market share exceeding 
25%, and with the ability to effectively influe nce market prices or volumes while preventing 
competitors from limiting this effect.  However,  anti-competitive practices  and agreements, which 
lead to cost reduction, improvement of production or  distribution conditions, or the encouragement of 
new technology, are exempt from the prohibition, provided that consumer interest will override the negative consequences of restraining competition.  By the same token, price-fixing agreements for 
"strategic products", concluded by the Government, are exempt from the prohibition.  The authorities 
indicate that a list of such products will be contained in the Law's Executive Regulations. 
112. The Competition Law provides for the establishm ent of a Competition Agency, managed by a 
Board of Directors with 14 members, including three competition specialists, four representatives of various ministries, and two representatives of the pr ivate sector.  The Agency will have the right to 
receive and investigate complaints, to initiate its own investigations, and ta ke decisions and necessary 
steps to stop anti-competitive practices.  The Law also stipulates that sanctions apply in respect of all 
prohibited activities that have an effect in Egyp t, even if committed abroad.  Fines range from 
LE 30,000 to LE 10 million.   
113. Prices controls are maintained on certain goods and services, such as electricity.  WT/TPR/S/150/Rev.1 Trade Policy Review 
Page 46 
 
 
(iii) Government procurement 
114. Egypt is not a signatory to the WTO plurila teral Agreement on Government Procurement. 
115. Public procurement is governed by the Te nders Law (Law 89/1998), which is aimed at 
investment promotion, deregulation and decentralizat ion, and flexibility in pr ocurement procedures.  
Procurement procedures under the Tenders Law require that awards go to the lowest bidder, with the 
exception of purchases financed by international fi nancial institutions, where specified criteria are 
considered.  In all procurement, a 15% pri ce preference is given to Egyptian products.  
116. The two main procedures for public procurement of goods and services in Egypt are public 
tender and public practice.  The purchaser is free to choose the procedure used.  These methods may 
be open to both Egyptian and foreign suppliers, a nd must accordingly be advertised in daily 
newspapers in Egypt and abroad.  Public tenders and public practices re quire offers to be submitted in 
two sealed envelopes, one with technical and the ot her with financial specifications.  The envelope 
with the technical offer is considered first;  onl y financial offers corresponding to accepted technical 
specifications are considered.  In the case of pub lic practices, prices are negotiated with all the 
competitors during an open session with a view to furt her reducing the initial price offers.  In contrast, 
in the case of tenders, initial offers are final and ca nnot be negotiated.  Tende rs cannot be changed to 
practices once the procedures are launched, and vice versa. 
117. Under a decree from the competent authority, public procurement may also be carried out 
through one of the following alternatives:  limite d tender, local tender, direct agreement (direct 
purchase), and limited practice.  Limited tenders ar e used where the nature of the product requires 
participation by selected suppliers in Egypt or ab road.  Local tenders are used for products with a 
value of up to LE 200,000;  tendering is limited in this case to local suppliers from within a 
Governorate.  Direct agreements are applied in emergency situations.  They require prior 
authorization by the head of administration or  the authority, for purchases not exceeding LE 50,000 
(LE 100,000 for contractual work);  or by the competent Minister or Governor for contracts not exceeding LE 100,000 (LE 300,000 for contractual work).  In the case of direct agreements, buyers 
are advised to purchase from Egyptian small and medium-sized enterprises.  Limited practices, based 
on bargaining with selected suppliers, are used for:  (i) products available only from specific suppliers 
in Egypt or abroad;  (ii) products whose nature  dictates that they are brought from their production 
location;  (iii) products whose technical specificati ons require that they are purchased from certain 
suppliers;  and (iv) national security.  Both the Mi nistries of Defence and of Military Production and 
their entities may use any of the limited methods of procurement when necessary.  While using any of 
these limited methods, they are advised to compare at least two offers. 
118. Egypt has no central procurement body;  each department has its own procurement 
committee, which examines its tenders and practices;   technical, financial and legal aspects are 
considered.  The composition of the committee depe nds on whether domestic or foreign suppliers are 
involved.  Participation by the Ministry of Finan ce in the committee is mandatory if the value of the 
purchase exceeds LE 250,000;  if the value exceeds LE 500,000, participation by competent legal 
counsel from the Council of State is also required.  Decisions with regard to tenders/practices are 
made by one committee if the value is up to LE 50,000;  above this amount, two committees examine 
all bids.  
119. A Tender Board has been established on an experi mental basis to purchase 400 items for five 
ministries, including those responsible for Trade and Industry, Finance, Telecommunications, and 
Information Centre for Cabinet.  The experience shows that purchases through the Board are 20% 
cheaper.  The General Authority for Government Services (GAGS) plays an a posteriori role;  it Egypt WT/TPR/S/150/Rev.1 
 Page 47 
 
 
controls the contracts to ensure that the prescrib ed guidelines and directives are followed.  It may 
provide technical assistance and training to departments or procurement units.  It may also represent the Ministry of Finance in procurement committees. 
(iv) State-owned enterprises and privatization 
120. State-owned enterprises play an important role in the import of petroleum products and some 
agricultural commodities, and cotton exports.  The General Authority of Supply Commodities 
(GASC), the agency designated to carry out the food subsidy programmes in Egypt, is a major 
importer of wheat, sugar, and edible oils;  its wheat  imports amounted to 5,420,000 tons in 2003/04.  
The Egyptian General Petroleum Corporation is the major petrol importer.  Cotton and cotton 
products, such as yarn, fabrics, and garments, are largely exported by public companies.  
121. The Government considers an expanding role for th e private sector to be an important pillar in 
its economic reform programme, and is committed to privatization.  Egypt's privatization programme 
dates back to 1991, when the Government embark ed on a stabilization and adjustment programme.  
Law 203/1991 scheduled 314 companies for privatization and grouped them into 27 holdings, each specialized in a particular activity.  Between 1993 and 2004, nearly 200 of these companies were fully 
or partly privatized through different methods (T able III.8).  The companies privatized to date 
encompass a broad range of industries and activiti es, including agriculture, real estate and 
construction, milling, pharmaceuticals, chemicals, textiles, and tourism. 
Table III.8 
Privatized companies, 1993-04 
Privatization 
technique 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 Total 
number of 
companies 
Complete or majority sale 
through stock 
offering 0 0 1 14 14 8 0 1 0 0 0 0 38 
40% sale through 
stock offering 0 1 2 6 1 0 0 0 0 0 0 0 10 
Partial sale (less 
than 50%) on the 
stock market 0 0 4 0 1 1 0 0 0 0 0 0 6 
Sale to majority 
investor 0 3 0 3 3 2 9 5 4 0 0 5 29 
Sale to employees 0 7 3 0 3 12 5 0 1 2 0 0 33 
Liquidation  6 2 2 1 3 6 7 3 2 1 0 0 33 
Sold as production 
assets 0 0 0 1 1 3 4 6 3 3 4 12 27 
Leased companies 
and production units 
(long-term lease) 0 0 0 0 1 0 6 10 1 0 3 0 21 
Total  6 13 12 25 27 32 31 25 11 6 7 17 197 
Source:  Information provided by the Mi nistry of Public Enterprises. 
122. Between 1997 and 2004, the pr ivatization programme generated receipts of nearly 
LE 12 billion (Table III.9).  Larger companies were ge nerally privatized through full or partial stock 
offerings.  Privatization proceeds are not earmark ed for specific purposes.  The authorities indicate 
that foreign investors played an important role in the privatization programme;  they were involved in 
11 of the 29 sales to majority investors.  WT/TPR/S/150/Rev.1 Trade Policy Review 
Page 48 
 
 
Table III.9 
Value of companies and produc tive units privatized, 1997-04 
(LE million) 
Privatization method 1997 1998 1999 2000 2001 2002 2003 2004 Total 
proceeds 
Complete or majority sale through stock 
offering  2,271 1,340 0 47 670 0 0 0 4,328 
40% sale through stock offering  447 276 2,665 2,345 316 28 0 0 6,077 
Partial sale (less than 50%) on th e stock market 79 350 75 0 51 11 0 0 566 
Sale to majority investor 125 0 0 0 0 0 0 545 570 
Sale to employees 221 76 0 0 0 0 0 0 297 
Sold as production assets 6 316 45 84 38 12 34 148 683 
Total  3,149 2,358 2,785 2,476 1,075 51 34 693 11,927 
Source: Information provided by the Mini stry of Public Enterprises.  
123. In September 2002, the Prime Minister issued Decrees 1500/2002 and 1502/2002 allowing 
the Ministry of Public Enterprises to sell the public shares in joint-venture companies.  Since then, the 
Government has offered shares in a large number of joint-ventures companies;  this has resulted in 
receipts of LE 1.9 billion.  The authorities indicate that the public shares in another 31 joint-venture 
companies will be sold before the end of 2005. 
124. The privatization programme had lost some of its momentum at the beginning of the 
millennium, and an ambitious plan to revitalize it was presented to the cabin et in early 2004.  It 
envisages the privatization of 111 of the remain ing 178 state-owned enterprises (excluding banks) 
during the period 2004-06, and of another 14 ente rprises in the following years;  53 enterprises, 
particularly in the manufacturing industry, will remain  state-owned, but will be restructured with the 
aim of making them profitable by 2007 and prepar ing them for sale.  The authorities indicate that 
various companies, such as Egypt Air, the Egyp tian General Petroleum Company, and the Suez 
Canal, remain excluded from privatization.   
125. An empirical study on Egyptian firms that were fully or partially privatized between 1994 and 
1998 found significant increases in profitability and ope rating efficiency, together with significant 
declines in leverage and employment, while no significant change in output was observed.23 
(v) Local-content requirements 
126. Egypt has notified the WTO that it maintains in centive measures in the form of customs duty 
reductions to promote the establishment and development of certain industries.24  The reductions in 
customs duty, which are offered to assembly industr ies, depend upon the proportion of local content 
and can go up to a maximum of 75% of the full tariff rate (Table III.10).  The incentives were originally aimed at facilitating the exploitation of  available resources, transfer of technology, and 
remedying what was viewed as a chronic trade defi cit.  The authorities indi cate that these incentives 
have lost their importance in the li ght of the recent tariff reductions a nd, thus, will be reconsidered in 
the near future.  
                                                     
 
23 Omran (2004). 
24 WTO document G/TRIM/N/1/EGY/1, 9 October 1995. Egypt WT/TPR/S/150/Rev.1 
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Table III.10 
Tariff concessions subject to  local-content requirements in assembled products, 2005  
Local content required (% of the manufactured products) Reduction in import duty (%) 
20 25 
30 30 
40 40 
50 50 
60 60 
Over 65 75 
Source : Information provided by the Egyptian authorities.  
127. In February 2001, Egypt requested an extensi on of five years of the transition period under 
the provisions of Article 5.3 of the TRIMs Agreement.25  Questions regarding Egypt's request were 
posed by the European  Communities and Japan.26  No decision has been taken by the WTO Council 
on Trade in Goods (as at February 2005). 
(vi) Intellectual property rights 
(a) Legal and institutional framework  
128. Egypt is a member of most of the main interna tional treaties on intellectual property.  It joined 
the Berne Convention for the Protection of Literary  and Artistic Works, on 7 June 1977;  the Geneva 
Convention for the Protection of Producers of Phonograms, on 23 April 1978;  the Convention 
establishing the World Intellectual Property Organi zation, on 21 April 1975;  the Madrid Agreement 
on the International Registration of Marks, on 1 Ju ly 1952;  the Hague Agreement Concerning the  
International Deposit of Industrial Designs;  the Paris Convention for the Protection of Industrial 
Property, on 1 July 1951;  the Trademark Law Tr eaty on 7 October 1999;  and the Patent Cooperation 
Treaty, on 6 June 2003.  The authorities indicate that Egypt is in the process of joining the 
International Union for the Protection of New Varieties of Plants (UPOV). 
129. In June 2002, Egypt passed a new Intellectua l Property Law (Law 82/2002), which rescinded 
all previous legislation on intellectual property right s (IPR).  Executive Statutes to Books 1, 2, and 4 
of the Law were issued in January 2004;  Executive Statutes on Book 3, covering copyrights and neighbouring rights, were issued in March 2005.  Th e Law covers the major areas referred to in the 
TRIPS Agreement (Table III.11) and has been notified to the WTO.
27  The TRIPS Council reviewed 
Egypt's IPR statutes in June 2001.  In its r esponses to questions from Canada, the European 
Communities, Japan, Switzerland, and the United Stat es, Egypt referred to the legislation to be 
adopted in 2002.28   
                                                      
25 WTO document G/C/W/249, 23 February 2001. 
26 WTO documents G/C/W/284, 25 July 2001, and G/C/W/287, 8 August 2001. 
27 WTO document IP/N/1/EGY/I/1, 6 August 2004.  
28 WTO documents IP/C/W/278, 12 June 2001;  IP/C/W/278/Add.1 and Add.2, 14 November 2001;  
IP/C/W/278/Add.3, 29 November 2001. WT/TPR/S/150/Rev.1 Trade Policy Review 
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Table III.11 
Overview of IPR protection, 2005 
Subject  Coverage  Duration  Selected exclusions and limitations  
Patents and 
utility models Any invention that is 
novel and susceptible of industrial 
application  20 years from the 
application filing date in Egypt (7 
years for utility 
models) No patent can be delivered:  (1) to innovations affecting national 
security, contradicting public mo rals and order, causing severe 
damage to the environment, or  harming the life of humans, 
animals or plants;  (2) to di scoveries, scientific theories, 
mathematical methods, programs and drawings;  (3) to diagnostics, therapeutic, and surgical methods for treatment of 
humans and animals;  (4) to plants and animals however rare or 
unique, including biological pr ocesses for the production of 
animals and plants, with the exception of micro-organisms, non-biological processes and micro-bi ological processes;  (5) to 
organs, tissues, viable cells, DNA, and genomes. 
Compulsory licences may be granted to exploit an invention if the utilization is for non-commercial public use, or will resolve a 
national emergency, or other circ umstances of extreme urgency, 
or will support the national effort  in a significant sector for 
economic, social and technologi cal development.  Compulsory 
licences may also be granted in the case of non-exploitation of a 
patent within 4 years following th e application date, or 3 years 
from granting, or 1 year without a justified reason from the date of 
the last exploitation.  
Layout-design 
of integrated circuits New integrated 
circuits 10 years from the 
application filing date in Egypt, or from the first 
commercial 
exploitation in Egypt or abroad, whichever 
is earlier.  In all 
cases, protection expires after 15 years 
from  the date of its 
creation Any natural or legal person has the right, and without a licence 
from the rightful owner, to exercise acts as:  personal use of a protected layout-design for the purpose of examination, inspection, analysis, education, trai ning or scientific research;  and 
innovation of a layout-design identic al to another protected layout 
design using independent effort s;  reproduction or commercial 
exploitation of an integrated circuit including a protected layout 
design or a product incorporating such an integrated circuit on 
behalf of a person unaware of the existence of a protected layout 
design in such product. 
Compulsory licences to exploit layout-designs may be granted 
under conditions similar to those of patents. 
Undisclosed 
information Undisclosed 
information having a 
commercial value due to its secrecy Competent 
authorities receiving 
the information must protect it against 
disclosure and unfair 
commercial use from the date of reception 
until expiration of 
the secrecy classification, or for 
a period not to 
exceed five years, whichever is less Some acts are not contradictory to fair commercial practices, as 
obtaining the information from pub licly available sources or by 
using personal and independent  efforts through inspection, 
examination and analysis of products that are circulated in the 
market and that embody the undisc losed information; or from 
independent scientific res earch, innovation, invention, 
compilation, development, and improvement efforts exerted by 
independent persons. 
Trade marks 
and geographical indications Trade marks that are 
distinguishing a product or service from others and 
include names, figures 
etc.  Trade marks must be visual One or more periods 
of 10 years, indefinitely renewable The non-effective use of a mark for five consecutive years can 
entail its cancellation th rough court order. 
Trade marks cannot be registered if they are contrary to public order or morality, or similar or id entical to religious, Red Cross, or 
Red Crescent symbols.  Individual portraits, public emblems, 
flags, and other special symbols cannot be registered. 
Industrial designs and models  Compositions or 
arrangements of lines or three-dimensional 
figures with a specific 
appearance that are novel and industrially 
applicable 10 years from the 
application filing date.  Protection may 
be renewed once for 
five years Designs and models that cannot be  registered include those which 
are dictated by technical or functional considerations;  those comprised of logos, religious sym bols, stamps, or flags;  those 
which are contrary to public order or morality, etc.  
Registered industrial designs and models are not violated if they are used for scientific research , education or training purposes, 
non-commercial activities, etc.  
Table III.11 (cont'd) Egypt WT/TPR/S/150/Rev.1 
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Subject  Coverage  Duration  Selected exclusions and limitations  
Copyright and 
related rights  Literacy, scientific, 
and artistic works, 
including computer 
programs, databases, publications, lectures, 
speeches, and other 
oral works, phonographic works, 
applied and plastic art 
works, line or colour drawings, engravings, audio-visual and 
architectural work, 
illustrative pictures, geographical maps, 
sketches, 
topographies, designs  Authors, performers 
and their successors 
benefit from infinite 
literary rights. Financial rights for 
the authors and the 
authors of joint works are protected 
for their lives plus 50 
years. For collective works, the protection is 50 years from the 
date of the first 
public display or performance. This 
protection is reduced 
to 25 years for authors of 
performing arts, and 
to 20 years for broadcasting 
organizations  Personal licences can be obtained fo r copying or translating, in 
return for fair indemnification to the author and observing certain 
conditions.  After publication, th ird parties may copy, photograph, 
perform, or publish all or a part  of the work, without causing a 
prejudice to the literary rights of th e author, as long as they do not 
obtain any direct or indirect financial compensation. 
Any work not translated  into Arabic within  three years of its 
publication is public domain. 
Plant varieties  Plant varieties that are 
novel, distinct, and uniform 25 years for trees and 
vines, 20 years for other agriculture crops from the date 
of granting Some activities are allowed, for example:  non-commercial 
activities and use for the purpose of personal propagation;  scientific research activities;  breeding, hybridization, and 
selection activities aimed at propaga ting new varieties;  education 
and training activities. 
Source:   WTO Secretariat, based on information provided by the Egyptian authorities. 
130. Egypt's main IPR contact point is the Authority for Protecting Intellectual Property Rights.29  
The competence of the contact point is laid down in Ministerial Decree 99/2000 and includes cooperation with the Customs Administration with r espect to border measures, the provision of legal 
and technical advice on IPR complaints, and dispute arbitration between complaining parties.  Other 
official institutions dealing with IPR-related i ssues include the Patent Office, the Commercial 
Registry Administration, the General Authority for Books and National Documents, the National 
Center for Cinema, and the Plant Variety Protection Office. 
131. Applications for a patent are made to the E gyptian Patent Office.  The cost of filing an 
application is LE 150 for a patent, or LE 100 for utilit y models, layout designs, and integrated circuits.  
In addition, annual fees are levied;  these increa se gradually from LE 20 in the second year to 
LE 1,000 in the 20
th year.  Reduced fees are in place for natural persons, SMEs, and students.  A 
60 day period is granted to file any opposition to a patent.  Oppositions are subject to a fee of LE 500;  
the fee is refunded if the opposition is accepted.  Compulsory licences for patents may be granted on 
the grounds of national emergencies or insufficient lo cal exploitation.  According to the authorities, 
however, no compulsory licences have been granted during the period under review.  
132. Trade marks and industrial designs can be registered with the Commercial Registry 
Department of the Ministry of Supply and Internal  Trade.  Granted trade marks are published in the 
Gazette of Trademarks and Industrial Designs .  Opposition against a trade mark may be filed within 
five years of the mark's first registration or, if th e registration was obtained in bad faith, at any time.  
There is no previous use requirement to register a trade mark.  Trade marks may contain geographical 
indications if production of the good under considera tion is consistently undertaken by the applicant 
in the area referred to. 
                                                      
29 WTO document IP/N/3/Rev.8, 20 October 2004. WT/TPR/S/150/Rev.1 Trade Policy Review 
Page 52 
 
 
133. Copyright protection under the new Intellectua l Property Law covers literary rights in 
addition to financial rights.  These allow the author to make the work available to the public for the 
first time; to attribute it to himself or herself;  and to prohibit any amendment in the work changing or distorting its mean.  The Law also extends copyright protection to computer programs and databases.  
Applications for copyright must be made, depending on the material, either to the National Centre for 
Cinema for audio-visual works;  the Cabinet In formation and Decision Support Centre for computer 
works;  or to the General Authority for Books an d National Documents for written works and all other 
material. 
134. Parallel imports are allowed under Articles 10 (on patents), 71 (on trade marks), 127 (on 
industrial designs), 147 (on copyrights), and 198 (on plant varieties) of Intellectual Property Law.  
135. In the context of the AIDS crisis, Egypt, together with more than 50 other developing 
countries, sponsored a proposal to the TRIPS Council for a ministerial declaration on the TRIPS Agreement and public health.
30  The submission proposes that, "nothing in the TRIPS Agreement 
shall prevent Members from taking measures to protect  public health".  The proposal resulted in the 
WTO Ministerial Declaration on the TRIPS Agreement and Public Health.31 
136. Together with 13 other Members, Egypt su bmitted a communication expressing concerns 
about the application of non-violation and situa tion complaints to the TRIPS Agreement, and 
recommending that violations of the type iden tified in GATT Article XXIII:1(b) and (c) be 
determined inapplicable to the TRIPS Agreement.32 
137. No information is available on the number of applications for and decisions on intellectual 
property rights since 1999. 
(b) Enforcement 
138. The Intellectual Property Law establishes that vi olations of intellectual property rights are 
subject to fines or imprisonment.  The fines range  from of LE 2,000 to LE 100,000;  prison terms are 
for not less than one month.  In the case of recidivism, penalties increase to fines ranging from 
LE 10,000 to LE 200,000;  and prison term s of not less than three months. 
139. Upon request of the right holder, the presiding judge of the competent court may order the 
seizure of infringing goods as well as the equipment used to produce them.  The judge may also order 
precautionary measures against the presumed violation of a patent, a utility model, undisclosed information, or the layout design of an integr ated circuit.  In the case of presumed copyright 
infringement, the judge may prevent the publication or performance of the work.  According to the 
authorities, border enforcement of IPRs is availa ble through ex officio inspections by the customs 
authorities if there is doubt that consignments contain any infringing goods. 
140. The authorities indicate that since Egypt's acce ssion to the TRIPS Agreement there has been 
an active campaign to spread public awareness on IPRs.  This has included public advocacy, 
instruction and training programmes, and the creation of a publicly supported centre for IPR studies. 
                                                     
 
30 WTO document IP/C/W/312, 4 October 2001. 
31 WTO document WT/MIN(01)/DEC/W/2, 14 November 2001. 
32 WTO document IP/C/W/385, 30 October 2002.